U.S. Presses Trade Action Against India on Solar Energy

The U.S. filed a second complaint against India’s solar-energy policies at the World Trade Organization, reviving a year-old dispute between the two nations.

Today’s action follows a case the U.S. filed in February 2013 at the Geneva-based WTO, saying India’s requirements for locally made components on solar-energy products violate global trade rules.

“These domestic content requirements discriminate against U.S. exports” of solar cells and modules, U.S. Trade Representative Michael Froman said today at a news conference in Washington.

Officials from the Indian Embassy in Washington didn’t immediately respond to a request for comment.

The U.S., which has supported its own solar-manufacturing industry through loan guarantees, exported $119 million worth of solar-industry gear to India in 2011, and sales have declined since then, according to the U.S. trade office. In 2012, India, the second-largest export market for U.S. solar producers after Japan, plans to expands its solar-manufacturing industry by 20 times by 2020, according to the agency.

The U.S. trade office notified India today that it’s requesting consultations at the WTO to resolve the dispute. If the matter isn’t resolved in 60 days, the U.S. can request creation of a special panel at the WTO to hear the case.

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